I’ll give my take on the VIX, created by the Chicago Board of Trade to underwrite and promote the sale of options. Options offer ways for people to bet on a stock’s progress or decline over a 21 day period. For pennies on the dollar, they can play the market without buying stock…..I call options players the bottom feeders of the market, and they make and lose fortunes in times of economic stress. During times of stability, they don’t have as much effect on the markets, but their bets stocks will go down, fuel the VIX, or Fear Factor to rise.
If our markets had any credibility left, they would ban the options game. They contribute nothing to the real markets, they just make hedge bets. It is like betting Come or Don’t Come on a CRAPS table……
The thing that disturbs me the most is the growing power of the VIX, created for these bottom feeders. The pundits play it up or down as instructed by their corporate owners, there is no truth left on our financial channels or sites. They are all tightly controlled. Now, everyone consults the VIX as if it is an Oracle predicting the outcome of today’s market.
Our entire stock market is controlled by a few individuals who handle hundreds of billions in funds. The individual investor has little value, the market is tightly rigged because the truth is too terrible to allow. The stocks and hedge funds are all terribly overvalued, and when the truth is exposed, the fallout will be without precedent.
The financials are all overpriced while every bank hides an empty shell; there is nothing there. Any and all loans made, auto, home, business, credit card….All are packaged into bonds and sold on Wall Street….Another causing agent of the 2008 fallout that were never shut down. Many of the financial games that led to the 2008 crash are alive and playing on Wall Street…..The Wall Street Journal commented on these facts more than once warning of the dire consequences. The warning signals are clear to any and all who suffered in 2008.
Corruption is everywhere in the US economy. The dollar loses prominence in world markets due to the rise of electronic currencies rendering any need for a world reserve currency obsolete. The US dollar was used in 100% of international trade in January of 2010. Today, it is less than 50%, and falling fast. The US has lost a huge economic hammerlock on the world markets. The more they try to hide it with lies and deception, the corruption only grows worse.
There is no integrity in the US markets, and Enron Accounting which precipitated the 2008 crash was exported by Moodys to the rest of the world. Now, all economies use it, so no markets are credible, except perhaps Swiss…..
We are finished. All credibility and respect has been lost.
Truth, especially of the financial sort, has an implacable way of making itself known. It is already creating cracks in the endless propaganda wall of happy horse shit and ascending stock prices. Since the break down of Greece and China, US markets lost over two trillion dollars. Yellen called it August Turbulence in her unremarkable press cThe FED is supposedl